OK, so I finally unveiled my Etsy shop. I've already been told right off the bat (by an international friend) that my prices are wayyy too low.Anyhow, could you guys give a glance please and let me know what you think of the wares, the prices, and also the business texts (shipping, returns, etc.).Any feedback is greatly appreciated as always!

Your jewellery is so cute! The prices look about the same as I've seen on Folksy, so I'm not sure if they're too low or not. Maybe show the earrings on a white background so they stand out more - some of them are getting a bit lost on the cards. I know shops in the UK don't refund earrings due to hygiene reasons - is that the same in the US as it looks like you'd refund in all circumstances?

I am not sure what jewelry sells for in your area. Have you priced handmade jewelry in your area to see how you compare?

Are you covering all your costs ... * all supplies for making the jewelry such as the beads, string, etc.* all overhead--equipment to make the jewelry, special lighting, magnifiers, containers to hold beads, etc.* boxes and bags for the jewelry when sold* mannequins* costs for etsy* your time

I ask if you're covering costs because your prices do seem on the low side. You might check at craft shows or other's facebook, etsy or website who are from your area.

I think your prices are very fair and reasonable. If you are able to make a decent profit and not lose money on shipping, then I think it's all personal choice as to what you want to set your prices at.

I figure if I can pay myself essentially $15-20/hour, that is more than fair. It takes me about 30ish minutes to make a scarf from start to finish and I make a profit of roughly $9-12 depending on material costs. I take into account all of the misc. supplies (shipping stuff, paper/ink, thread, new needles, etc.) as much as I can.

I never charge for my time. I learned from a self made millionaire that he never charged for his time. He owned the company and after all the costs of running the business were taken out, the rest was his. All he did was take a draw against the profits. And I've done things that way since I began in this business.

Besides, when you're a one person operation, chances are you never charge or even keep track of all the time spent. If you were an employee, you definitely would though.

Do you charge for your time when:Designing?Ordering material? Going to the craft store? (Time spent in transit)Keeping track of your Etsy store and tweaking it?Packing the orders?Calling UPS or FEDEX or going to the Post Office to ship?The actual cost of shipping the item?

And a lot of crafters will just sometimes sit in front of the TV at night making small items or just get ahead on some things.

I'll bet you don't keep a timesheet when doing those things, so how can you realistically arrive at a price using that method?

When I make my product, I start out by trying to find the market value of similar items. I may have to tweak my prices up or down, but when I arrive at a price where it sells, I stay there. Then I look at the IRS forms and decide what I can subtract. My time is not on there.

So I make my product, sell it, and after deductions, what's left over is mine.

The secret is that once you arrive at a selling price, you then find ways to lower your costs, and increase sales, thus increasing your profits.